The past few months have been very eventful with the Iran related market drawdown through March followed by the nearly unprecedented surge in April and May, driven by AI related enthusiasm. Equity
market moves of the magnitude experienced over the past 10 weeks are almost exclusive to the initial rebound from a bear market low.
The multitude of cross currents today include extreme valuation and concentration, momentum and enthusiasm for a new technology, unprecedented potential equity supply from 3 mega scale IPOs beginning this week, war and a potential energy crisis, foreign central bank intervention (Japan) and policy tightening, and inflation re-accelerating.